AVANTOR INC (AVTR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AVTR - US05352A1007 - Common Stock
11.51 USD
-0.01 (-0.09%)
11.51 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to AVTR. AVTR was compared to 58 industry peers in the Life Sciences Tools & Services industry. While AVTR is still in line with the averages on profitability rating, there are concerns on its financial health. AVTR is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
AVTR had positive earnings in the past year.
In the past year AVTR had a positive cash flow from operations.
In the past 5 years AVTR has always been profitable.
AVTR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AVTR has a Return On Assets of -0.70%. This is in the better half of the industry: AVTR outperforms 62.07% of its industry peers.
AVTR's Return On Equity of -1.48% is fine compared to the rest of the industry. AVTR outperforms 62.07% of its industry peers.
The Return On Invested Capital of AVTR (4.80%) is better than 70.69% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AVTR is significantly below the industry average of 13.53%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.7% | ||
| ROE | -1.48% | ||
| ROIC | 4.8% |
ROA(3y)4.42%
ROA(5y)3.49%
ROE(3y)10.57%
ROE(5y)9.15%
ROIC(3y)6.58%
ROIC(5y)6.55%
1.3 Margins
In the last couple of years the Profit Margin of AVTR has grown nicely.
Looking at the Operating Margin, with a value of 9.18%, AVTR is in the better half of the industry, outperforming 67.24% of the companies in the same industry.
In the last couple of years the Operating Margin of AVTR has grown nicely.
With a Gross Margin value of 33.13%, AVTR is not doing good in the industry: 65.52% of the companies in the same industry are doing better.
AVTR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.18% | ||
| PM (TTM) | N/A | ||
| GM | 33.13% |
OM growth 3Y-7.05%
OM growth 5Y2.19%
PM growth 3Y15.1%
PM growth 5YN/A
GM growth 3Y-0.28%
GM growth 5Y1.11%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AVTR is destroying value.
AVTR has more shares outstanding than it did 1 year ago.
The number of shares outstanding for AVTR has been increased compared to 5 years ago.
AVTR has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.78, we must say that AVTR is in the distress zone and has some risk of bankruptcy.
AVTR has a Altman-Z score (1.78) which is in line with its industry peers.
AVTR has a debt to FCF ratio of 7.37. This is a slightly negative value and a sign of low solvency as AVTR would need 7.37 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 7.37, AVTR is doing good in the industry, outperforming 60.34% of the companies in the same industry.
A Debt/Equity ratio of 0.65 indicates that AVTR is somewhat dependend on debt financing.
The Debt to Equity ratio of AVTR (0.65) is worse than 72.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 7.37 | ||
| Altman-Z | 1.78 |
ROIC/WACC0.51
WACC9.43%
2.3 Liquidity
AVTR has a Current Ratio of 1.49. This is a normal value and indicates that AVTR is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.49, AVTR is doing worse than 75.86% of the companies in the same industry.
AVTR has a Quick Ratio of 1.49. This is a bad value and indicates that AVTR is not financially healthy enough and could expect problems in meeting its short term obligations.
AVTR's Quick ratio of 0.96 is on the low side compared to the rest of the industry. AVTR is outperformed by 82.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.49 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
The earnings per share for AVTR have decreased by -2.04% in the last year.
Measured over the past years, AVTR shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -10.82% on average per year.
Looking at the last year, AVTR shows a decrease in Revenue. The Revenue has decreased by -3.59% in the last year.
The Revenue has been growing slightly by 2.35% on average over the past years.
EPS 1Y (TTM)-2.04%
EPS 3Y-10.82%
EPS 5YN/A
EPS Q2Q%-15.38%
Revenue 1Y (TTM)-3.59%
Revenue growth 3Y-2.8%
Revenue growth 5Y2.35%
Sales Q2Q%-5.28%
3.2 Future
AVTR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.40% yearly.
The Revenue is expected to grow by 1.67% on average over the next years.
EPS Next Y-7.13%
EPS Next 2Y-2.78%
EPS Next 3Y2.39%
EPS Next 5Y5.4%
Revenue Next Year-3.96%
Revenue Next 2Y-1.79%
Revenue Next 3Y0.18%
Revenue Next 5Y1.67%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.99, which indicates a very decent valuation of AVTR.
Compared to the rest of the industry, the Price/Earnings ratio of AVTR indicates a rather cheap valuation: AVTR is cheaper than 98.28% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.65, AVTR is valued rather cheaply.
With a Price/Forward Earnings ratio of 12.18, AVTR is valued correctly.
AVTR's Price/Forward Earnings ratio is rather cheap when compared to the industry. AVTR is cheaper than 96.55% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of AVTR to the average of the S&P500 Index (34.45), we can say AVTR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.99 | ||
| Fwd PE | 12.18 |
4.2 Price Multiples
98.28% of the companies in the same industry are more expensive than AVTR, based on the Enterprise Value to EBITDA ratio.
AVTR's Price/Free Cash Flow ratio is rather cheap when compared to the industry. AVTR is cheaper than 93.10% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.99 | ||
| EV/EBITDA | 11.33 |
4.3 Compensation for Growth
The decent profitability rating of AVTR may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-2.78%
EPS Next 3Y2.39%
5. Dividend
5.1 Amount
AVTR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
11.51
-0.01 (-0.09%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners103.37%
Inst Owner Change-5.17%
Ins Owners0.34%
Ins Owner Change6.07%
Market Cap7.85B
Revenue(TTM)6.58B
Net Income(TTM)-82.20M
Analysts71.11
Price Target14 (21.63%)
Short Float %3.34%
Short Ratio2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.53%
Min EPS beat(2)-5.09%
Max EPS beat(2)-3.97%
EPS beat(4)1
Avg EPS beat(4)-2.12%
Min EPS beat(4)-5.09%
Max EPS beat(4)2.94%
EPS beat(8)5
Avg EPS beat(8)1.74%
EPS beat(12)6
Avg EPS beat(12)0.63%
EPS beat(16)9
Avg EPS beat(16)1.07%
Revenue beat(2)0
Avg Revenue beat(2)-2.39%
Min Revenue beat(2)-3.35%
Max Revenue beat(2)-1.44%
Revenue beat(4)0
Avg Revenue beat(4)-2.91%
Min Revenue beat(4)-3.57%
Max Revenue beat(4)-1.44%
Revenue beat(8)0
Avg Revenue beat(8)-2.36%
Revenue beat(12)0
Avg Revenue beat(12)-2.35%
Revenue beat(16)0
Avg Revenue beat(16)-2.39%
PT rev (1m)-0.75%
PT rev (3m)-2%
EPS NQ rev (1m)-14.84%
EPS NQ rev (3m)-15.31%
EPS NY rev (1m)-3.8%
EPS NY rev (3m)-3.86%
Revenue NQ rev (1m)-3.92%
Revenue NQ rev (3m)-4.08%
Revenue NY rev (1m)-1.11%
Revenue NY rev (3m)-1.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.99 | ||
| Fwd PE | 12.18 | ||
| P/S | 1.19 | ||
| P/FCF | 14.99 | ||
| P/OCF | 12.18 | ||
| P/B | 1.41 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.33 |
EPS(TTM)0.96
EY8.34%
EPS(NY)0.95
Fwd EY8.21%
FCF(TTM)0.77
FCFY6.67%
OCF(TTM)0.95
OCFY8.21%
SpS9.64
BVpS8.17
TBVpS-3.93
PEG (NY)N/A
PEG (5Y)N/A
Graham Number13.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.7% | ||
| ROE | -1.48% | ||
| ROCE | 5.94% | ||
| ROIC | 4.8% | ||
| ROICexc | 4.92% | ||
| ROICexgc | 29.45% | ||
| OM | 9.18% | ||
| PM (TTM) | N/A | ||
| GM | 33.13% | ||
| FCFM | 7.96% |
ROA(3y)4.42%
ROA(5y)3.49%
ROE(3y)10.57%
ROE(5y)9.15%
ROIC(3y)6.58%
ROIC(5y)6.55%
ROICexc(3y)6.76%
ROICexc(5y)6.74%
ROICexgc(3y)52.77%
ROICexgc(5y)49.06%
ROCE(3y)8.14%
ROCE(5y)8.11%
ROICexgc growth 3Y9.06%
ROICexgc growth 5Y15.03%
ROICexc growth 3Y-3.1%
ROICexc growth 5Y1.59%
OM growth 3Y-7.05%
OM growth 5Y2.19%
PM growth 3Y15.1%
PM growth 5YN/A
GM growth 3Y-0.28%
GM growth 5Y1.11%
F-Score5
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 7.37 | ||
| Debt/EBITDA | 3.6 | ||
| Cap/Depr | 29.62% | ||
| Cap/Sales | 1.84% | ||
| Interest Coverage | 3.73 | ||
| Cash Conversion | 63.69% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.49 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 1.78 |
F-Score5
WACC9.43%
ROIC/WACC0.51
Cap/Depr(3y)35.33%
Cap/Depr(5y)30.17%
Cap/Sales(3y)2.02%
Cap/Sales(5y)1.71%
Profit Quality(3y)143.28%
Profit Quality(5y)453.06%
High Growth Momentum
Growth
EPS 1Y (TTM)-2.04%
EPS 3Y-10.82%
EPS 5YN/A
EPS Q2Q%-15.38%
EPS Next Y-7.13%
EPS Next 2Y-2.78%
EPS Next 3Y2.39%
EPS Next 5Y5.4%
Revenue 1Y (TTM)-3.59%
Revenue growth 3Y-2.8%
Revenue growth 5Y2.35%
Sales Q2Q%-5.28%
Revenue Next Year-3.96%
Revenue Next 2Y-1.79%
Revenue Next 3Y0.18%
Revenue Next 5Y1.67%
EBIT growth 1Y-4.14%
EBIT growth 3Y-9.65%
EBIT growth 5Y4.59%
EBIT Next Year2.25%
EBIT Next 3Y4.7%
EBIT Next 5Y3.54%
FCF growth 1Y-24.62%
FCF growth 3Y-6.35%
FCF growth 5Y18.01%
OCF growth 1Y-21.8%
OCF growth 3Y-4.11%
OCF growth 5Y18.89%
AVANTOR INC / AVTR FAQ
What is the ChartMill fundamental rating of AVANTOR INC (AVTR) stock?
ChartMill assigns a fundamental rating of 4 / 10 to AVTR.
Can you provide the valuation status for AVANTOR INC?
ChartMill assigns a valuation rating of 7 / 10 to AVANTOR INC (AVTR). This can be considered as Undervalued.
How profitable is AVANTOR INC (AVTR) stock?
AVANTOR INC (AVTR) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for AVTR stock?
The Price/Earnings (PE) ratio for AVANTOR INC (AVTR) is 11.99 and the Price/Book (PB) ratio is 1.41.
Can you provide the financial health for AVTR stock?
The financial health rating of AVANTOR INC (AVTR) is 2 / 10.